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Merit

Оглавление

The World Bank’s data, methods and assessments do not provide inclusive pictures of Russian economic merit (Rosefielde and Pfouts, 2014). They misgauge consumer utility assuming perfect market competition and pay inadequate attention to aspects of well-being omitted from their national income statistics (social externalities and other nonmarket aspects of personal fulfilment). These defects give an unduly favourable impression of Russia’s inclusive economic performance. Russian well-being and quality of existence are substantially lower than the World Bank’s indicators suggest (Trudolyubov, 2019),13 while the Kremlin’s military and political power are higher. Russia is not a typical lower tier advanced economy playing a benign part in the global order. It is a great military power at odds with Western-led globalising that privileges kleptocratic servitors at the expense of ordinary consumers. A system’s merit, like beauty, is in the eyes of the beholder. This is a matter of values. Nonetheless, one important aspect of Russia’s economic potential should be beyond dispute. Russia can persevere on its current course without foregoing guns, butter, growth and modernisation. It can remain on a Muscovite trajectory as long as the regime holds power by successfully repressing full democratisation.

Putin's Russia

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